Matthew Rushing
Mrs. Weser
Economics
08-26-13

Oil climbs, gas gains on East Coast refinery problems
By: Anna Sussman
Friday August 23 2013

In this article Anna Sussman tells us how the disruption of Libyan exports and the shut down of two large oil refineries can affect the prices of gasoline significantly. this is a good example of supply and demand at work, as the oil productions get disrupted the supply drops which increases scarcity and demand. I think that as long as the rise in prices is due to a lack of supply it is okay, but I don't think that oil companies should raise the prices when the demand isn't as great. I think this because they have the supply but the demand isn't there and by the rules of supply and demand the prices should be dropping. These rises in gas prices can have serious effects on the whole economy, by raising the price of oil they raise the price of shipping and that in turn can raise the prices of goods that need shipping thus driving prices in every category of the economy up. http://uk.reuters.com/article/2013/08/23/markets-oil-idUKL4N0GO0UI20130823